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© 2006

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distributedBhagwat
without prior consent © 2006 Shantanu Bhagwat

India
- Defining Global Talent Flows
Shantanu Bhagwat

The contents of this presentation and the opinions expressed therein (unless stated otherwise), are the intellectual property of Shantanu Bhagwat and should
not be used, quoted, transmitted or distributed in any form or manner, without the explicit and written consent of the author. © Shantanu Bhagwat, 2007
Email: shantanu20ATgmail.com
Not to be distributed without prior consent © 2006 Shantanu Bhagwat

Agenda

 A Dramatic Change in Perceptions

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“Do you have computers in India?”

* Image courtesy: Rhymer Rigby 3


Not to be distributed without prior consent © 2006 Shantanu Bhagwat

Agenda

 A Dramatic Change in Perceptions


 The “Re-Emergence” of India

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The Re-Emergence of India…


 “While India produced about 25 percent of world industrial output
in 1750, this figure had fallen to only 2 percent by 1900.“
 “India’s Deindustrialisation in the 18th and 19th Centuries”, David
Clingingsmith and Jeffrey G Williamson

 In 1830s, Bengal alone had 100,000 schools and a fairly


advanced indigenous medical system that included inoculation
against small-pox*

 …not just that, the literary rate in India before the British (c. 18th
century) was higher than that in England*

http://www.newindpress.com/column/News.asp?Topic=97&Title=S%2EGurumurthy&ID=IE620061115230938&nDate=&Sub=&Cat
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The Re-Emergence of India…


 "China and India combined to produce nearly half the world's
economic output in 1820 compared to just 1.8% for the U.S.
 Michael Milken, Wall Street Journal, Sept ‘06

 “After two centuries of Western domination, China and India are


poised to claim their places”
 “The Great Reverse”, Clyde Prestowitz

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Agenda

 A Dramatic Change in Perceptions


 The “Re-Emergence” of India
 Many more Argonauts
 The demographic dividend

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The “Demographic Dividend”

Overall Growth ~ 23%


1,268m

1,200
1,027m
Population (m)

800 811m
Growth ~ 36%
598m

400

0
2001 2016
0 to 14 yrs 15 to 59 yrs 60 yrs & above

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Many more “Argonauts”…

Source: Sylvester J Schieber, VP, Watson Wyatt http://www.ssab.gov/immigration-forum/documents/SCHIEBER-0905.pdf 9


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Young, Smart and Footloose…

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NSI - The “Non-Stationary” Indian

* Image courtesy: Mayang 11


Not to be distributed without prior consent © 2006 Shantanu Bhagwat

Agenda

 A Dramatic Change in Perceptions


 The “Re-Emergence” of India
 Many more Argonauts
 The demographic dividend
 Immigration, Innovation and Entrepreneurship
 Migrants, by definition, are more risk-taking…

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Immigration, Innovation and


Entrepreneurship…
 Over the past 15 years, 25 percent of U.S. public companies that were
VC-backed were started by immigrants.
 Although legal immigrants account only for 8.7% of the population
 Some of these companies include Google, Yahoo, eBay, Sun
Microsystems, Intel and Solectron
 Together these companies account for an impressive market cap
exceeding $500 billion.
 However, two-thirds of respondents said “U.S. immigration policy has
made it increasingly difficult to start a business in America” and “a
nearly-equal percentage felt that the visa policies, particularly the
limited number of H1-B visas allotted to companies “harm American
competitiveness.””

 What will be even more interesting to watch is the effect of some of


these immigrants returning back to their countries of origin – particularly
in terms of the impact that they will have on their “home” economies…

* Source: NVCA, Red Herring and http://global-themes.com/immigration-innovation-and-entrepreneurship/ 13


Not to be distributed without prior consent © 2006 Shantanu Bhagwat

Agenda

 A Dramatic Change in Perceptions


 The “Re-Emergence” of India
 Many more Argonauts
 The demographic dividend
 Immigration, Innovation and Entrepreneurship
 Migrants, by definition, are more risk-taking…
 Links between UK and India
 Gnarled branches of a huge banyan tree…

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UK and India…

* Image courtesy: Prasad Ullal 15


Not to be distributed without prior consent © 2006 Shantanu Bhagwat

Thank you…

Shantanu Bhagwat @ www.global-themes.com

The contents of this presentation and the opinions expressed therein (unless stated otherwise), are the intellectual property of Shantanu Bhagwat and should
not be used, quoted, transmitted or distributed in any form or manner, without the explicit and written consent of the author. © Shantanu Bhagwat, 2007
Email: shantanu20ATgmail.com 16